The Clean Vehicles Directive

The Clean Vehicles Directive’s goal is increasing the proportion of low- and zero-emission vehicles in contracts submitted by public entities across the 27 EU member states. The Directive mandates that public authorities purchase and promote alternative technologies, including electric, natural gas, and hydrogen-powered automobiles, as alternatives to traditional diesel or gasoline-powered vehicles. Public authorities’ increased demand will stimulate the market and make these vehicles more affordable for all operators.  

It is anticipated that the Directive will hasten the widespread adoption of energy-efficient and sustainable road transportation, especially in the bus industry, where public procurement accounts for more than 70% of the market. Through economies of scale, increased sales will contribute to cost reductions, improving the fleet’s overall energy and environmental performance over time. 

Three significant changes were added to the Directive with the 2019 revision: (1) A new definition for clean vehicles (2) National procurement targets for their procurements in 2021-2025 and 2026-2030: the national division of their targets is the responsibility of each Member State. (3) Broadening the scope to include purchase, lease, hire-purchase, and services contract procurement. 

The most significant modification of the updated Clean Vehicles Directive mandates that Member States guarantee that a minimum proportion of “clean” and “zero-emission” vehicles would be purchased during two reference periods: the first one, which runs from 2021 to 2025, and the second, which runs from 2026 to 2030. 

Renewing the transportation fleet with clean vehicles is essential to decarbonizing transportation and enhancing air quality in cities. In order to comply with the directive, member states must purchase vehicles and services that meet the minimum procurement targets for clean light-duty and heavy-duty vehicles. For the first reference period, which runs from August 2, 2021, to December 31, 2025, the targets are minimum percentages of clean vehicles in the total number of road transport vehicles covered by the aggregate of all contracts awarded between January 1, 2026, and December 31, 2030. 

According to their constitutional framework and the goals of their transport policies, member states are free to allocate their efforts within their borders in order to reach the minimum targets. Depending on their economic capabilities and pollution risk, Member States have varying procurement targets. 

The amending directive expanded the directive’s scope of application to include procurement through: 

• Vehicle purchase, leasing, rental, or hire-purchase agreements 

• Contracts for public road passenger transport services,  

• Services contracts for special purpose road passenger transport services, non-scheduled passenger transport, trash collection services, and mail and parcel delivery and transportation 

Key recommendations

The Directive is the principal piece of legislation governing the procurement of clean and energy-efficient vehicles for public transport within the European Union. As such, it is of critical importance for public transport operators and organising authorities to understand and align their procurement strategies accordingly.  

1. It is strongly recommended that public transport stakeholders familiarize themselves with their respective national frameworks, stay continuously informed of evolving definitions of clean vehicles under the legislation, and ensure full compliance with its requirements. 
2. Close attention to the Clean Vehicles Directive not only ensures legal compliance but also positions organisations to benefit from future funding opportunities and supports broader sustainability goals.